Schedule E Mortgage Int and Schedule A Mortgage Int when renting rooms for a portion of the year.

[Tim C S]

In 2023 I rented out some of the rooms in my primary residence.   It looks like Turbo Tax is adding both the mortgage interest I've entered from my 1098 Mortgage Interest for Schedule A and the Mortgage Interest entered for the room rentals from Schedule E.    

Going through the step-by-step process for Wages & Income, under the Rental Properties and Royalties section, Rental and Royalty Summary, Expenses, Report Mortgage Interest, it instructs you to "Enter your mortgage interest from form 1098, line 1."  I enter $14,896.  and proceed through all of the steps...

I then continue and complete the Deductions and Credits, Your Home section, Mortgage Interest, Points, Refinancing and Insurance sub section, I entered all of my 1098 information. Box 1 Mortgage Interest which was $14,896.  

I now see in the Your 2023 Deductions & Credits summary,  under Your Home, Mortgage Interest, Points, Refinancing, and Insurance $25,209.  It appears it has applied a portion of the mortgage interest from the Schedule E along with the mortgage interest from the 1098 / Schedule A.   

Should I manually enter the mortgage interest portion for rental in schedule E and the personal portion in Schedule A?

Thank you in advance!

Tim

[tagteam]

I suspect you're missing a checkbox in the Rentals section of the program where you would indicate you rent out part of your home and then enter the percentage.

Below is a screenshot from the Deductions & Credits section (test return) and the calculation appears correct after I enter the mortgage interest in the Rentals section.